BE12-7 (L04) Waters Corporation purchased Johnson Company 3 years ago and at that time recorded goodwill of $400,000 The Johnson Division's net assets, including the goodwill , have a carrying amount of $800,000. The fair value of the divisions estimated to be $1,000,000. Prepare Waters' journal entry, if necessary, to record impairment of the goodwill. BE12-8 (L04) Use the information provided in BE12-7. Assume that the fair value of the division is estimated to be 575/60 and the implied goodwill is $350,000. Prepare Waters' journal entry, if necessary, to record impairment of the goodwill 101